“Yes, negotiations are still ongoing,” he said on the sidelines of the 2025 APEC Summit in Gyeongju, South Korea, on Friday.
The discussions aim to expand bilateral trade cooperation, particularly in Indonesia’s leading export commodities.
On the same occasion, Coordinating Minister for Economic Affairs Airlangga Hartarto said that further talks with the US would continue after the summit.
He explained that the commodities proposed for zero-percent tariffs are similar to those agreed with Malaysia, such as palm oil, cocoa, rubber, and several other goods not produced in the US.
Hartarto noted that discussions on critical minerals are being conducted separately.
“Critical minerals are being discussed separately, related to the supply chain,” he said. “In the joint statement, we refer to them as industrial communities.”
Indonesia is seeking to lower tariffs on palm oil exports to zero percent, similar to Malaysia’s agreement with the US.
“This (palm oil tariff negotiation) is still in progress. Hopefully, in the discussions, we can at least be on par with Malaysia,” said Acting Director General of Agro-Industry Putu Juli Ardika on October 29.
He referred to Malaysia’s success in lowering US import tariffs from 25 percent to 19 percent under its newly signed reciprocal tariff agreement with Washington.
Malaysian key products, including palm oil, rubber, wood products, aviation components, and pharmaceuticals, were either exempted from or reduced to zero-percent tariffs by the US.
Ardika expressed confidence that a similar deal would allow Indonesia to compete equally with Malaysia in the US market.
Related news: Indonesia seeks 0 percent US tariff on palm oil, mirroring Malaysia
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Translator: Resinta Sulistiyandari
Editor: Anton Santoso
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